Durian export have earned more than a billion USD in just half of 2024
Vietnamese durian is entering the main harvest season. According to Department of Crop Production (Ministry of Agriculture and Rural Development), this year's durian output is estimated at 1.5 million tonnes, a sharp increase compared to last year.
On June 22, durian exporters announced that price of Monthong (Dona) durian type 1 fluctuated around 80,000 - 85,000 VND/kg, type 2 price 70,000 - 80,000 VND/kg; Ri 6 durian type 1 price 55,000 - 60,000 VND/kg, type 2 price 40,000 - 45,000 VND/kg.
Durian is one of agricultural products favored by billion-people Chinese market. Last April, Vietnam surpassed Thailand for the first time in exporting this fruit to China. In the past 2 years, Chinese market has been "buying" so farmers have been able to sell durian at high prices.
According to Mr. Dang Phuc Nguyen - General Secretary of Vietnam Fruit and Vegetable Association, it is estimated that in the first 6 months of this year, fruit and vegetable exports earned about 3.5 billion USD, of which durian accounted for 30 - 35% of export turnover of this industry. This means that durian export turnover in the first half of this year has reached more than 1 billion USD.
Mr. Nguyen Dinh Tung - General Director of Vina T&T Group shared that number of durian orders exported to Chinese market by the company is very stable. This year, the company plans to export about 150 containers of durian to China, equivalent to 2,400 tonnes of goods.
More competitors but not too worried
According to statistics from General Administration of Customs of China, in the first 4 months of this year, Vietnamese durian accounted for 39.2% of total fresh durian imported by this country, up 25.9 percentage points compared to the same period in 2023. Meanwhile, proportion of imports from Thailand decreased to 60% of China's total imports, equivalent to a decrease of 26.7 percentage points.
However, in addition to Thailand and the Philippines, Vietnamese durian will have more competitors in this market of more than a billion people. Because, from June 19, fresh durian from Malaysia was officially exported to China after two countries signed a protocol on phytosanitary requirements for durian. Previously, Malaysia was only allowed to export frozen durian to Chinese market.
Malaysia's durian export market to China has been expanded. Mr. Datuk Seri Mohamad Sabu - Minister of Agriculture and Food Security of Malaysia expects that this Protocol will promote domestic durian industry and increase value of agricultural exports. At the same time, he expressed his belief that above Protocol will create more opportunities for more than 63,000 durian growers nationwide. During a period of 2018 - 2022, total export value of Malaysia's durian increased by 256.3%. In 2022, Malaysia's durian exports recorded a value of 1.14 billion ringgit (250 million USD). China is the main market for Malaysian durians, with exports reaching 887 million ringgit ($188 million) by 2022. Mohamad Sabu expects Malaysia's durian exports to China to increase to 1.8 billion ringgit ($380 million) by 2030.
Most durian farms in Malaysia grow specialty varieties similar to Musang King. Therefore, Malaysian durians will stand out in the high-end segment of international market. Minister Mohamad Sabu said that Malaysia has potential to gain a significant market share in China thanks to Musang King durians. "If we start planting durians now, we can reap rewards in five or six years," he said, stressing that farmers can grow any durian variety as long as they ensure export quality.
Presence of fresh durians from Malaysia will increase heat of competition in Chinese market. Because previously, only 3 countries were allowed to export fresh durian to the world's second largest economy: Thailand, Vietnam and the Philippines.
Malaysia's durian output is lower than that of Thailand and Vietnam. However, Malaysia has an advantage in high-quality durian varieties. This country is the homeland of Musang King durian variety, considered the "king of durians" thanks to its strong aroma and golden flesh.
Regarding this issue, Mr. Dang Phuc Nguyen said that up to now, China is still the largest durian consumer market in the world. Size of durian market in this country increases sharply every year and can "contract" all durian output in countries in Southeast Asia.
However, among 4 countries that are officially exporting fresh durian to China, Vietnam is still the country with many advantages. The reason is that durian harvest season of Malaysia, Thailand and the Philippines only lasts a few months in the middle of the year, while Vietnam harvests in different seasons, so there are exports every season.
Regarding Malaysia, according to Mr. Dang Phuc Nguyen, the country's durian when exported to Chinese market targets the high-end segment, while Vietnamese durian is often in the low-end segment. Therefore, we are not under too much pressure to compete with Malaysian goods.
In addition to fresh durian, Mr. Dang Phuc Nguyen added that China also spends more than 1 billion USD to import frozen durian. This is also a potential segment for Vietnamese durian.
Currently, technical negotiations to export frozen durian to Chinese market have been completed. If the Protocol is signed, Vietnam's export turnover of this item to the Chinese market could reach 300 million USD. Thus, Vietnam's total durian export turnover in 2024 is expected to reach 3.5 billion USD.

Source: Vitic/ congthuong.vn